London, February 17, 2026, 08:08 GMT — Regular session.
- Rolls-Royce shares slipped early in London, giving back some ground after climbing 2.1% on Monday.
- Bernstein’s stance stays “Market-Perform” with the target at 900p, citing robust demand in the aftermarket.
- Eyes are on the company’s late-February results, with attention also turning to when the buyback kicks in.
Shares in Rolls-Royce Holdings (RR.L) slipped roughly 0.1% to 1,296.5 pence by 0805 GMT, trading between 1,295.0 and 1,299.5 in early moves.
Rolls-Royce shares remain close to their 52-week peak, so even minor changes in sentiment can jolt the stock as earnings season rolls through February.
Bernstein Research stuck with its “Market-Perform” on Rolls-Royce, leaving the target at 900 pence—that’s about 31% under where shares are now. Analyst Adrien Rabier pointed out air traffic keeps outpacing global economic growth, and flagged an especially strong 2025 for the spare parts and maintenance segment. Wallstreet Online
Shares finished Monday at 12.98 pounds, a gain of 2.12%, leaving the FTSE 100’s 0.26% rise in the dust. Trading in Rolls-Royce was light—just 5.7 million shares changed hands, far short of the 50-day average near 22.9 million, according to MarketWatch data.
Defence stocks have drawn attention after British Prime Minister Keir Starmer, pressed on speculation that plans to boost defence spending to 3% of GDP could be accelerated, said the government has to “go faster” on military funding. Reuters
Rolls-Royce mapped out its own timeline for buybacks. Back in December, the company announced plans for an interim, non-discretionary share buyback—up to £200 million—starting Jan. 2 and aiming to wrap by Feb. 24. That’s just before its scheduled 2025 full-year results announcement on Feb. 26. As for 2026’s buyback plans, those are still under board review, with details due to arrive with the full-year results.
When a company buys back its own stock and retires the shares, the total share count drops. Earnings per share can get a boost, even if actual profits don’t budge. Still, buybacks don’t solve underlying business issues.
Investors’ focus for the upcoming update is straightforward: cash flow, margins in servicing, and clues about capital returns after the present programme ends. Most of Rolls-Royce’s profit comes after engines are delivered, through maintenance and selling parts.
Sneaking a look at Safran and GE Aerospace, investors keep tabs for just this reason. More flights often mean engine makers book extra shop visits, sell more spare parts. But let air traffic slack off, and those numbers can flip in a hurry.
Still, there’s a risk on the table. Should air travel demand slow, or if airlines push out their maintenance schedules, the aftermarket could lose steam. Supply-chain snags remain a threat for deliveries and expenses. The shares are trading close to their highs—any sign of faltering, investors aren’t hesitating to react.
